Support for loss-makers
The State Railway of Thailand, Provincial Waterworks Authority and Bangkok Mass Transit Authority will soon be propped up by the government for providing non-profitable public services.
A Finance Ministry source said last week that the State Enterprise Policy Office had recently submitted to Finance Minister Chalongphob Sussangkarn a set of conditions for debt-ridden state enterprises to receive full financial support from the government. The new framework for state subsidies was based on Chalongphob's principle of public service obligation (PSO). The official said any state enterprise offering public services at a cost lower than investment, in line with government policy, it would be eligible as long as it keeps separate accounts for its PSO businesses to ensure transparency in the source of their red ink. Wichit Chaitrong The Nation
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